The digital edge: brokers, carriers ramp up freight matching tools
Commercial Carrier Journal, by Aaron Huff
March 6, 2019
A cloud-based TMS from Kuebix is utilized by more than 18,000 shippers, brokers and freight forwarders to integrate directly with the TMS software used by truckload and less-than-truckload carriers.
Through the integration, Kuebix retrieves contract and spot-market rates from carriers, and electronically tenders them loads and tracks shipments for shippers.
About 80 percent of the loads that move through the system are for contracted bids. The remaining 20 percent are spot market transactions, says Dan Clark, the company’s founder and chief executive.
Kuebix has an integrated load matching service called FleetMAX for spot market freight. The service is managed through a partnership with Estes Express, the largest private LTL carrier in the United States.
Shippers and brokers that use the platform can expose freight to capacity providers in FleetMAX to find trucks using actual locations and hours of service data, he says. Estes Express manages the relationships with carriers and freight payments.
Compared to a load board where carriers get multiple calls from different brokers when posting an available truck, carriers deal with one entity — Estes Express — for load matching, he says.
Freight brokers also use FleetMAX to post loads. With Estes in the middle using the Kuebix platform, the broker is invoiced for the load without having to worry about another broker or carrier back-soliciting loads from its shipper customers, he says.
“Brokers feel comfortable giving a load to a fleet (Estes) as opposed to another broker,” he says.
While there are many options for freight matching technology, the trend is towards greater connectivity and integrations that enable transportation companies to do more from one platform and a single screen.